Top administrator and
& Young partner Alan Bloom is to appear before MPs next week as
parliamentary scrutiny of the Metronet debacle steps up a gear.
The transport select committee has called in Bloom, who is handling the
administration of the collapsed tube upgrade operator, to speak to MPs next
The session could provoke awkward questions for the profession over the PPP
deal, which has earned several Big Four firms as much as £25m in advisory work.
E&Y itself advised London Underground and the Department for Transport on
the deal, as well as carrying out the administration. PricewaterhouseCoopers
earned the bulk of advisory fees, according to information released by the
government at different stages.
Bloom is one of the best-known figures in business recovery, having worked on
the Railtrack administration before his work at
Railtrack case means he will be familiar with high-profile and politically
contentious company administrations.
The parliamentary session is also likely to shed light into the prospects for
the troubled tube upgrade group.
Last week the administrators oversaw a management clearout that led to five
Metronet executives, including CFO Philip Pacey leaving the company.
Bloom and his team received an offer from
Transport for London for
Metronet last week, but the details of the bail-out package have been kept
closely under wraps after a confidentiality clause was signed between the two
On TfL’s offer, E&Y said: ‘This will be reviewed by the PPP
Administrators and a response to TfL will be made over the coming week or so.’
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies